investment
PM Hasina writes back to Biden
Prime Minister Sheikh Hasina has written back to US President Joe Biden.
Foreign Minister Hasan Mahmud handed over a copy of the letter to Special Assistant to the President and Senior Director for South Asia, US National Security Council (NSC), Eileen Laubacher on Sunday.
It is a response to the letter sent by the US President to the Bangladesh Prime Minister.
Bangladesh Ambassador to USA, Muhammad Imran, will hand over the original copy of the letter to White House.
The Foreign Minister has said that they want a new chapter of relations with Bangladesh.
“We want to begin a new chapter of relations with them,” he said, adding that the nations will benefit through strengthening the relations.
Eileen Laubacher led an inter-agency US delegation during her meeting with Foreign Minister Hasan at the Ministry of Foreign Affairs on Sunday.
Read: PM's daughter Putul thanks Joe Biden for 'warm hospitality'
The USAID’s Assistant Administrator of the Bureau for Asia Michael Schiffer, the US Department of States Deputy Assistant Secretary at the Bureau of South and Central Asian Affairs (SCA) Afreen Akhter, and CDA of the US Embassy in Dhaka Helen LaFave were present at the meeting.
Besides, Bangladesh Ambassador to the US Muhammad Imran and Director General of Foreign Ministry’s North America Wing Khandker Masudul Alam and other officials from the ministry were present.
The discussions centred around exploring new avenues to deepening the existing relationship. Economic cooperation, trade and investment, Rohingya humanitarian response, climate change, and energy were in focus during the meeting.
The Foreign Minister reiterated Bangladesh’s steadfast position in favour of peace and against any form of war.
He asked for US to use its leverage to achieve a permanent ceasefire in Gaza.
Read: PM Hasina greets new US President Joe Biden
Hasan also hoped for the Russia-Ukraine war to end.
The extradition of Bangabandhu’s self-confessed killer Rashed Chowdhury from the US was also discussed.
He also asked for the withdrawal of the US sanction on RAB.
Earlier, US President Joe Biden wrote to Prime Minister Sheikh Hasina expressing his willingness to work together to achieve Bangladesh’s economic goals. He also expressed willingness to partnering with Bangladesh on the shared vision for a free and open Indo-Pacific.
As the two countries embark on the next chapter of the US-Bangladesh partnership, Biden said he wants to convey the sincere desire of his administration to continue their work together on regional and global security, economic development, climate change and energy, global health, humanitarian support, especially for Rohingya refugees, and more.
Read more: Fakhrul showers praises on Joe Biden, Kamala Harris
“We have a long and successful history of working together to solve problems, and our strong people-to-people ties are the foundation of this relationship,” the US President wrote to PM Sheikh Hasina.
Top 10 Financial New Year Resolutions and Ways to Implement Them
At the dawn of another year, setting financial resolutions becomes crucial for a stable future. It can serve as a roadmap towards economic well-being, empowering individuals to manage money more effectively. Proper management of expenses aids in reducing debt, making savings, and creating new investment windows. Prioritising financial goals ensures a more organised and secure financial journey. Overall, it fosters the path towards achieving long-term aspirations. Let’s take a look at some practical resolutions to manage your finances in 2024.
Top 10 Financial New Year’s Resolutions and Ways to Fulfil Them
Creating a Budget and Sticking to It
Creating a proper budget is key to managing money smartly. Try using apps or spreadsheets to split your money between what you need, what you want to save, and what you can spend on non-essential or luxury things.
By keeping a close eye on your spending and sticking to your budget, you can avoid spending money on things you do not need. It helps you keep your expenses within your budget.
Read more: 10 Foods to Eat for Good Luck in New Year
Practising Mindful Spending
Being mindful about spending means making choices that align with your goals and it leads to a more stable financial future. It is very important to take a mindful approach to spending by thinking before you buy. Try to focus on what you truly need rather than what you want right now. You may consider if your purchase brings long-term benefits.
This way of spending helps you control your money better and keeps you on track to reach your financial aims.
Paying off Debts and Loans
One should make it a priority to clear off debts with high interest rates as they can weigh one down financially. For instance, credit card debt needs to be paid in due time to avoid fines. To repay big debts arranging money from savings or low-interest loans can be considered depending on the situation.
In the new year, one can prepare a repayment plan to settle all debts and get financial freedom.
Read more: 5 New Year Resolutions that are actually achievable
Building an Emergency Fund
Life can surprise us, so it is wise to have a safety net for unexpected costs. Try to stash away money for an emergency fund that can cover living expenses for three to six months if needed. You may look into FD or DPS packages offered by different banks or financial institutions. This practice can help you save more money while making sure you can access them easily.
Whenever you hit a milestone on your savings journey, take a moment to celebrate your progress towards your financial safety net.
If you want to beat China, come with basket of money and affordable proposals: Momen
Foreign Minister Dr AK Abdul Momen today (October 28, 2023) said other countries should also come up with baskets of money and affordable proposals, instead of intimidation and giving advice, if they want to beat China.
"If you want to beat China, you should come with basket of money and affordable proposals like the Chinese. Only advice does not satisfy us," he said while talking to reporters.
The foreign minister mentioned that he said this during both the recent US and Europe visits.
Salman F. Rahman, US Under Secretary Uzra Zeya acknowledge the only means to change govt is through elections
Earlier, he spoke at a seminar on “Navigating Challenges: Bangladesh’s Response to the Current Global Situation” at the Foreign Service Academy as the chief guest.
Diplomats World, a diplomatic magazine, hosted the seminar.
Describing Prime Minister Sheikh Hasina’s Europe visit as “very successful,” Momen said the European countries listened to Bangladesh and they are now coming up with funds.
He said the European leaders highly appreciated Bangladesh’s leadership and development.
"This is a great achievement for Bangladesh," he said.
Momen said many countries want to sell their products while trying to put pressure in the name of human rights and democracy.
He said Bangladesh does not want to purchase military equipment now as the priority is to ensure people's welfare.
US does not take a side on internal political matters: Spokesperson
The Global Gateway strategy embodies a Team Europe approach that brings together the European Union, EU Member States, and European development finance institutions.
Together, they aim to mobilise up to €300 billion in public and private investments from 2021 to 2027, creating essential links rather than dependencies, and closing the global investment gap.
President of the European Commission Ursula von der Leyen together with Prime Minister Hasina on Wednesday launched the negotiations on a new Partnership and Cooperation Agreement to expand and develop the relationship between the EU and Bangladesh at the Global Gateway Forum.
USAID official highlights US support for Bangladesh’s economic development
On this occasion, the EU, the European Investment Bank (EIB) and Bangladesh signed agreements worth €400 million for renewable energy projects to contribute to a sustainable green transition of Bangladesh's power sector. It is also aimed at meeting the country's climate mitigation targets.
Five additional cooperation actions, worth €70 million, supporting education, decent work, green construction, e-governance and the prevention of gender-based violence were also launched.
President Ursula von der Leyen said: “The EU and Bangladesh have been reliable and trusted partners for 50 years. Now, we are taking this partnership even further, to reap the opportunities of the green transition under Global Gateway. The European Commission, the EIB and Bangladesh will join forces to support renewable energy and tackle climate change. This €400 million investment will make a difference for the people of Bangladesh and its economy.”
Bangladesh can support EU’s efforts to diversify production of pharmaceuticals, vaccines: PM tells EIB President
European Investment Bank (EIB) President Dr Werner Hoyer has appreciated the use of Euro 1 billion loan portfolio for Bangladesh since 2000 in areas of shared priorities.
He noted, in particular, progress in projects – under implementation – under water treatment and rail link upgradation.
Prime Minister Sheikh Hasina held a meeting with the EIB President recently at her hotel suite in Brussels.
The prime minister referred to the achievements made so far in ensuring safe water and sanitation for nearly 97 percent of the population in Bangladesh.
Also read: ‘Dear PM Hasina, 50th anniversary of EU-Bangladesh relations is the occasion to take our partnership to the next level’
She requested EIB to consider supporting river dredging, water conservation, and surface irrigation.
PM Hasina also mentioned the initiatives taken by her government to develop dual-track railway, to promote cost-effective passenger and container traffic.
She appreciated the interest of multilateral development banks in financing such impactful connectivity projects.
The EIB president referred to the loan package of Euro 250 million signed in 2021, said the Ministry of Foreign Affairs on Thursday (October 26, 2023).
He shared that the disbursement of the amount would commence soon for the purpose of health system strengthening.
Also read: PM leaves for Belgium Tuesday on a significant EU visit
The EIB president observed that Bangladesh was in an ideal situation to roll out vaccine production.
The prime minister informed him about the measures taken by the government to develop a vaccine production facility and a molecular testing laboratory.
She suggested that EIB extend support for necessary infrastructure development for these initiatives.
She reiterated that Bangladesh could support EU’s efforts to diversify production of pharmaceuticals, vaccines and medical equipment.
She also discussed possible support measures for combating dengue outbreaks, including through vaccines.
The EIB is the largest multilateral public bank in the world.
In 2022 it financed around Euro 10.8 billion in investments outside the European Union via EIB Global, the arm of the bank created that year for activities beyond Europe.
Since the beginning of its operations in Bangladesh in 2000, the EIB has supported six projects in the country and has invested more than Euro 670 million in water, transport and health projects.
Also read: PM Hasina asks EU to extend GSP+ facilities for 6yrs to graduating LDCs like Bangladesh
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Latest ADB report predicts a better year for Bangladesh in FY2024
Asian Development Bank (ADB) has projected Bangladesh’s gross domestic product (GDP) growth to be 6.5 percent in the fiscal year 2024, compared to an estimated growth of 6 percent in fiscal 2023.
The projection was made in the latest ADB report, ‘Asian Development Outlook (ADO) September 2023,’ released today.
The ADB in a press release said that the growth forecast reflects an improvement in domestic demand and better export growth due to economic recovery in the Eurozone.
ADB, Deutsche Bank ink risk sharing agreement to boost supply chain financing in Asia
The ADB also mentioned that inflation in Bangladesh is projected to ease from 9 percent in FY2023 to 6.6 percent in FY2024.
The current account deficit is expected to slightly narrow from 0.7 percent of GDP in FY2023 to 0.5 percent of GDP in FY2024 as remittance growth improves.
The main risk to this growth projection is a further deterioration in export growth if global demand is weaker than expected, the press release said.
Global trade finance gap expands to 2.5 trillion USD in 2022: ADB
ADB Country Director Edimon Ginting said that the government is managing relatively well against the external economic uncertainties, while advancing infrastructure development and critical reforms to improve the investment climate.
“These key structural reforms include to strengthen public financial management, enhance domestic resource mobilisation, improve logistics, and deepen financial sector, which are critical for private sector development, export diversification and productive job creation in the medium term,” he said.
ADB to provide Bangladesh $300 million loan to boost skills of labour force
He mentioned that continued high oil prices also provide a good incentive to accelerate reforms to expand domestic renewable energy supply and achieve the country’s climate change goals.
The ADO September 2023 states that moderate inflation and an increase in remittances will contribute to reviving private consumption, while the completion of a number of major government infrastructure projects will boost investment.
Private investment, however, may be dampened by the initial higher interest rates following the enhancement in the country’s monetary policy framework.
Inflation is expected to ease in FY2024 with some fall in global non-fuel commodity prices, expected higher agricultural production, and the initial tightening of monetary policy under the new framework.
FM Momen for strengthening trade, investment ties with African nations
Foreign Minister AK Abdul Momen has highlighted the imperative of tapping into unexplored trade opportunities between Bangladesh and African countries.
He attended at an interaction session held on Thursday at the Commonwealth Trade and Investment Forum Bangladesh 2023 in Dhaka.
Bangladesh sends humanitarian aid to flood-affected Libya
Momen underscored the critical need to establish robust trade and investment relations with African countries, particularly in key sectors such as pharmaceuticals, textiles, energy, blue economy and information and communication technology (ICT).
The session also shed light on Bangladesh's visionary 'Look Africa' policy, which represents a strategic commitment to bolster relations with African nations.
This outlines various areas of cooperation, including trade and the economy, education, IT and ICT, air and maritime connectivity, healthcare, contract farming, people-to-people contact and visa waivers for diplomatic and official passport holders. This multifaceted approach demonstrates Bangladesh's dedication to fostering deeper connections with the African continent.
CWEIC chairman applauds Bangladesh’s “incredible” economic success story
The foreign minister also stated that Bangladesh is one of the world's fastest-growing economies.
The country's focus on enhancing engagement with African nations aligns with its ambitious economic and social development trajectory, aimed at achieving Vision 2041 and creating a Smart Bangladesh.
He also highlighted that new African markets have opened doors for Bangladeshi enterprises, leading to diversification in export destinations.
Despite challenges, the potential for economic cooperation between Bangladesh and African nations remains promising, Momen said.
Devastation in Libya: Bangladesh PM expresses deep shock
He also stated that Bangladesh will welcome any election observers from African countries in our upcoming National Parliament Election scheduled to be held in early January 2024.
Ministers from several African countries, High level government delegates and business entities attended this event.
How to Raise Angel Investment for Startups in Bangladesh
Angel investors are those who invest seed money into a business to kick start its operation. This investment usually comes in exchange for convertible debt or equity in the ownership of the company. From a startup perspective, angel investments are a great way to secure funds as well as mentorship from the investors working in the relevant industry. Here is how a business can raise angel investment, especially if they are from Bangladesh.
The Angel Investment Landscape of Bangladesh
Bangladesh is still in the early stages of angel investment. There were not many investors a few years back in the startup ecosystem. However, the pace is picking up. Bangladesh Startup Investment Report of 2022 shows that Bangladeshi startups were able to raise $112 million in 2022. A total of 47 startups were able to secure funds, among whom 39 brought unique service propositions. The largest funding was received by ShopUp who were able to raise $65 million from Valar Ventures and Flourish Ventures.
About 8% of the total funding came from local investors. On average, the angel investment size for early-stage startups was around $588K. Bangladesh is in the lower tier when it comes to securing venture funds.
Read more: How to Gain Funding for Startup: Best Practices to Attract Investors
How to Get Angel Investment in Bangladesh
Getting an angel investor to invest is neither straightforward nor easy. A startup will need to put in the work, especially in Bangladesh where the investment ratio is low. There are several key things to consider when it comes to securing angel investment. Here are some of them.
Clear Business Idea and Plan
A startup should have a clear business idea backed up by a strong and detailed plan to secure angel investment. The plan should outline the startup's mission, market opportunity, revenue model, target audience, competition analysis, marketing strategy, and financial projections. A solid business plan is crucial for gaining investor confidence.
Market Validation
Investors look for product or service confidence while investing. As a result, it is important to create a market validation of the startup product or service before making the initial approach for funds.
Market validation can be done by developing a market-viable product. This product or service can be channeled to early adopters and customers. Based on their experience, a positive narrative for the product can be developed. This will play a crucial role in securing early-stage angel investment.
Read more: How to Build Social Capital to Grow Your Business
Gold vs Diamond: Which Should You Choose for Investment?
Are you considering investing in precious materials but unsure whether to choose gold or diamonds? Understanding their key differences is crucial when making investment decisions. In this article, we will weigh in on the benefits and shortcomings of both gold and diamonds. By the end, you'll have the insights you need to determine which investment aligns best with your financial goals and risk appetite.
Advantages of Investing in Gold
Safe-Haven Asset:
Gold is often considered a safe-haven asset during economic uncertainties and market volatility. It tends to retain its value and can act as a hedge against inflation and currency fluctuations.
Diversification Benefits:
Adding gold to an investment portfolio can provide diversification benefits, as it typically has a low correlation with other assets like stocks and bonds. This can help reduce overall portfolio risk.
Read more: Gold Buyer's Guide: Know the types, colors, karats of the precious metal
Tangible Asset:
Gold is a physical asset that you can hold in the form of coins, bars, or jewellery. This tangibility can provide a sense of security and ownership compared to other investments like stocks or bonds.
Good Fashion Fund makes first investment in Bangladesh in impact equipment
The Good Fashion Fund (GFF), a Netherlands-based investment fund promoting sustainable practices in the fashion industry, has made its first investment in Bangladesh.
The $1 million funding will support Progress Apparel Ltd.’s investment in a modern in-house washing plant located at the Adamjee EPZ's factory in Narayanganj, Dhaka.
The washing plant will be equipped with state-of-the-art washing, drying and hydro machinery selected for its efficient use of water and chemicals, said a media release on Monday (July 03, 2023).
Also read: Netherlands lauds Bangladesh’s continued progress despite global uncertainties
GFF’s investment - which is structured through Progress Apparels’ holding company in Hong Kong, PDS Ltd. - is enabling the company as a new player in the textile sector, to access international funding whilst promoting sustainable investments.
GFF’s investment in the in-house washing plant not only generates savings in water and chemical usage compared to conventional machinery, but also promotes supply chain traceability and transparency as washing is no longer outsourced, and the factory is now well capable of monitoring water, energy and chemical usage and the social well-being of its employees.
Limiting transport to and from the outsourced facility will further reduce emissions.
Progress Apparels Limited is a ready-made garment producer established in 2017 in Bangladesh.
Also read: Bangladesh Film Archive signs MoU with RedOrange of Netherlands to collect 1971 war footage
The company is part of PDS Limited. The facility produces woven bottoms for popular international brands and retailers.
They have a production capacity in excess of 1,000,000 pieces per annum which is set to increase due to operational efficiencies brought about by the GFF investment.
Speaking on the conclusion of the investment, Pallak Seth, Executive Vice Chairman, PDS Limited said, “PDS has more than two decades of expertise in the apparel value chain and established itself as a favoured collaborator for over 200 prominent global retail brands."
"As a socially responsible corporate entity and a trusted partner of retailers, we are dedicated to upholding our obligations to both our customers and the environment. Our association with the Good Fashion Fund serves as a testament to PDS's commitment to collaborating with esteemed institutions that prioritize environmental sustainability and circularity.”
Also read: BEMEA seeks more collaboration with Netherlands to enhance RMG industry’s competitiveness
Sanjay Jain, Group CEO, PDS Limited, “Over the past year, our manufacturing business has achieved a full year of profitability. This investment in the wash plant has not only empowered Progress Apparels to enhance their manufacturing capabilities but also gained the advantage of Good Fashion Fund's knowledge in sustainable practices and cutting-edge technology implementation. This investment allows us to leverage their expertise for the betterment of our operations and overall sustainability goals.”
The GFF is initiated by the Laudes Foundation for financing is to be used to invest in impact equipment that deliver both economic growth and good fashion practice.
Bob Assenberg, Fund Director of the Good Fashion Fund, spoke on this investment.
“We are excited to announce our first investment in Bangladesh and to be associated with a sustainability- oriented manufacturer such as Progress Apparels. This partnership demonstrates that sustainability can go hand-in-hand with economic savings and that it is essential towards transforming the apparel supply chain. We hope industry stakeholders will make concerted efforts in making such investments more accessible in Bangladesh.”
Also read: Netherlands, IOM join hands to improve environment, strengthen resilience of Rohingyas, host communities in Cox’s Bazar
Anita Chester, Managing Director of Laudes India, commented that “Sustainable manufacturing practices and processes are the need of the hour. They are especially critical in key manufacturing regions like Bangladesh where support to producers is critical to showcase the immense opportunity to decarbonise while ensuring a socially responsible transformation.”
The total investment made at the manufacturing facility has been seen as a testimony to PDS’s pledge to make the apparel manufacturing value chain sustainable and environmentally ethical for all stakeholders, the press release said.
DSE urges tax exemption on earned interest in bond market
The Dhaka Stock Exchange (DSE) on Tuesday urged the government to consider its 6-point proposal on the budget for the fiscal year 2023-24, to encourage investment.
DSE Board of Directors Chairman, Professor Hafiz Hasan Babu made the call from a 'post-budget press conference' at a hotel in the capital on Tuesday.
The proposals are tax-exemption for earned interest on bonds, to reduce the tax gap between listed and non-listed companies to 10 percent, reduce VAT from 15 percent to 10 percent for companies in the capital market, reduce the tax gap to 10 percent for stock exchange SME companies, and reduce tax at source on broker houses’ transactions.
Also Read: DSE seeks inclusion of four points to facilitate investors
In a written speech at the press conference, DSE Chairman said that currently, the size of the corporate bond market is very small which creates limitations in the capital market as well as in the financial market.
Also Read: DSE market capitalisation increased by Tk4.5 lakh crore in 2022
“A well-functioning bond market can help the economy in several ways. Exemption of tax on interest in all types of bonds would encourage creating a strong bond market," he said.